Deutsche EuroShop has acquired a 74% interest in the Galeria Baltycka in Gdansk, Poland. The proportional investment volume amounts to around €123 million, with an initial yield of 6.8%. As a result, Deutsche EuroShop's portfolio now consists of 16 shopping centers with a market value of over €2.3 billion. Along with the Galeria Baltycka the ratio of foreign investments of the Group increases to 18%.
Deutsche EuroShop purchased the interest from HGA Capital Grundbesitz und Anlage GmbH, a company belonging to the HSH Nordbank Group. The ECE Group, which is also responsible for planning, development, leasing and center management, is its partner in the investment.
The Galeria Baltycka has been under construction since the beginning of May 2006 and is scheduled to open in autumn 2007. The shopping center will offer approximately 190 specialized shops on three levels. Over 80% of the space has already been leased to well-known retailers over a year before the grand opening. A supermarket, a specialist consumer electronics retailer and a fashion house are the center's anchor tenants. There will be over 1,000 parking spaces available to customers in the shopping center's parking deck.
The Galeria Baltycka is being built directly at a central transport interchange in the Gdansk-Gdynia-Sopot conurbation (called the Tricity) in Gdansk, the former Hanseatic League city with 460,000 inhabitants. The center will be easily accessible by public transportation, as well as by car. Approximately 1.2 million people live in the center's catchment area; their retail purchasing power is around 20% above the Polish average.
Source: Deutsche EuroShop